Challenges Organizations Face on the Organizational Behavior Front in the Age of Globalization

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Cole (2007) defines organizational behavior as “a systematic study of the behavior of individuals within groups, the maturity of organization among groups, the nature of groups, and the process of executing change”. The study of organizational behavior (OB) mainly focuses on three broad areas. These areas are the behavior of people in organizations, organizational structure and behavior of organizations. Further, it seeks to describe, understand, predict and control human behavior within groups, in an effort to help mangers understand group dynamics and develop strategies for effective and efficient organizational management.

The impact of globalization is an emerging trend that has affected organizations, especially in regard to the behavior of employees. This research paper will describe the challenges organizations face on the organizational behavior front in the age of globalization.

The Challenges in Organizations

The primary challenge that many organizations have faced is managing a talented workforce. According to Michael and Miller (2011), a talented workforce is always demanding, especially in terms of rewards. This is due to the fact that they consider themselves an asset to the organization. As a result of globalization, organizations have been forced to recruit people who are extremely talented for the purposes of achieving the competitive advantage. However, organizations have had a challenge of managing the behaviors of talented staff because they keep oscillating between jobs. Talented employees are always searching for fresh opportunities with more challenging jobs and better remuneration. As a result, organizations must regularly recruit new employees to fill vacant positions.

Another significant challenge that organizations face in regard to organizational behavior is managing workforce diversity. The contemporary workplace is an amalgamation of three generations that are concurrently working together to balance a generational gap. They include the X-generation, the Y-generation, and Z-generation. As a result of globalization, an organization recruits people from different cultural backgrounds, who hold different attitudes towards work. For instance, the X-generation employees value freedom and responsibility and embrace hands-off style of management. The Y-generation employees are optimistic, smart, creative, and talented people, who seek challenges for personal growth and meaningful careers. Lastly, Z-generation employees seek for challenges, engage themselves in philanthropic activities, and want flexibility in balancing life and work (McShane Glinow, 2009). Therefore, organizations are faced with the difficulty of amalgamating and rewarding the needs of the different generations in the workplace.

In the age of globalization, organizations have found it extremely challenging to motivate their staff. In any work environment, individual or “intrinsic motivation” is extremely essential in determining the direction and success of one’s career. Organizations have found it extremely difficult to reward people differently for doing the same job. This is because the organization comprises of employees, who are motivated by different factors to work. As observed by Michael and Miller (2011), some workers are intrinsically motivated to work, while others are extrinsically motivated by rewards in terms of high compensation and benefits. Managing such behavior becomes extremely challenging for the management within the organization.

Many organizations have always found it exceedingly difficult when it comes to embracing and implementing the concept of change. As a result of globalization, employees have changed their attitudes and perception towards work. Quite often, employees tend to be skeptic about any changes that may render them jobless. Research has shown that the majority of people always resist change due to the fear of the uncertainty. Furthermore, the process of implementing change is largely hampered by the “organizational inertia” or the tendency to maintain the status quo (Cole, 2007). Therefore, organizations have been forced to conduct extensive trainings to create employee awareness before any change is implemented.


Cole, A. (2007). Managing organizational behaviour. New York: John Wiley Sons.

McShane, S. Glinow, V. (2009). Organizational behaviour. New York: McGraw-Hill, Inc.

Michael, A. Miller, C. (2011). Organizational behaviour: Challenges for the 21st century.

New York: John Wiley Sons